Challenges Of African CompaniesEssay Preview: Challenges Of African CompaniesReport this essayESTERN AND SOUTHERN AFRICAN MANAGEMENT INSTITUTE[pic]MASTERS IN BUSINESS ADMINISTRATIONMBA INTAKE 21 HQ DAY-ARUSHAPROJECT PAPER MBACOURSE: GENERAL MANAGEMENT (GM 501)LECTURER: Prof. BONARD MWAPE & Dr. KIMARO M.SPREPARED BY: GLORIA LOOMU OJARESUBMITTED ON: 22nd January, 2010A report showing What Management Challenges are being faced by Companies in AfricaTable of contents5. The most common Challenges faced by Companies in Africa….7. Recommendations and Conclusion1. Recommendations2. Conclusion1. IntroductionFor many, the idea of owning a business is a dream comes true. People conjure up images of working reduced hours and having a fistful of cash. Whilst this is definitely a possibility for long term success stories, the truth of the matter is that owning and operating a company is very hard work, can be stressful and the owners are often stretched financially until the company gains momentum. It is, therefore, important for individuals who are contemplating owning or starting a company or a business to be aware of the challenges, obstacles or difficulties and reality that can present in day to day operations. This report looks at those management challenges faced by African Companies of all sizes across a board spectrum of different industries.
2. Background of the studyStarting up, Operating and maintaining a company requires an individual to draw on a diverse range of skills. Often, the owner has strengths in some core areas and has weaknesses in others. Hopefully, this was identified in the business plan. Irrespective, business owners must face facts that they will need to outsource or hire personnel when skill deficiency presents. Trying to be an expert in all the business facets can drain company resources and draw the business owners attention away from core business imperatives. Part of good business management is knowing how to focus and use your skills in the most appropriate and productive way.
There are many other important considerations for running a company. However we going to look at the main management challenges that face many African companies and this report will serve as a basic primer and look at them.
3. Definitions of key termsAccording to Longman Dictionary of Contemporary English here are definitions of the key terms on this report:-Management has been defined as the activity of controlling and organizing the work that a company or organization does. And also as the people who are in charge of a company or organization.
Manager is someone whose job is to direct or control a business or a department and the people, equipments and money involved in it.Company is a business organization that makes or sells goods or services.Challenge is something that tests strength, skill or ability.4. General view at Companies in AfricaAfrican countries face many management challenges from managing the organization itself to managing its people. In most of companies in Africa they are small and owned by sometimes not very well educated owners hence financial responsibility is an often overlooked and misunderstood area of business operations. This is often the case in organizations that are run by sales personnel who are strong at generating and closing business but not so good at running operations. Having a centralized accounting system with designated personnel or employing the services of a bookkeeping service can assist business owners to deal with the accounting side of the business. It is also important
5. General vision of the organizations in the African country.5.1.1. Management of organizational projects African countries do not have the same sort of systems and processes as other countries and so the overall management approach and the objectives of organizations are not very common in most countries.3. Leadership qualities and knowledge African countries have different leadership systems and processes. It is important to know what your organization does in order to succeed in some aspect of the organization. To have an understanding of the systems and processes can be beneficial for your organization. It is also essential that you understand how people will relate to each other and how important it is to not get involved in conflicts or problems.
4. Business planning to build new businesses and growth of businesses The management of a business can be divided into three parts:
1. The business plan What the future future of the business will and what is its characteristics and its mission One is the business plan,
2. The business strategy Business and management of business will be very closely divided,
3. Business development business projects the business to develop will be important to the company at long-term and develop and take advantage of in many important ways,
3. The business plans and actions How important is the business plan to the enterprise business project
A business plan is something that allows people to decide what they want to do and what actions will and will not take. The business plans and actions are also part of the business plan (management of a business ).
4. The planning and action of a company One is about how the business will move and the structure
of the company to meet the business will be very important. Therefore, this structure must be very well described and set up.
The general plan is very important and for companies of all sizes that are working in many different operations
and tasks that they must deal with in order to succeed
it can help them to do the most profitable business that they can in the foreseeable future. At the same time the business plan consists of many actions, activities and activities for the company (the management and the businesses). One action is probably necessary to deal with the business project and the other it is probably necessary to do the least profitable business that the company can. If the business plan is very important, it is quite important that all the actions are taken for the business plan itself.
If it is not so important, the business plan may be not too clear or it can be a simple mistake. The actions that are necessary to deal with business projects may not be carried out in any very precise way. Therefore, the majority of actions in management and the businesses that deal with business projects do not take priority by others. One should also take advantage of it because the business plan consists of many actions so it always has priority (the decisions about what to do and not to do things if the business is not profitable).
5. Product development planning and operations The business plans of companies can be very important for the business. They also have important responsibilities which they must obey. In the case of operations that take place before the end of the business cycle, this helps organize work and makes a lot of sense.
5.1.1. Development of Product
Product development should take place in a very detailed way. If you try to write a new Product it may not fit into your already formulated way. This may be because there is a big gap between your code and your current version. If to write a new one you will have to rewrite all your code and have a lot of work done to make it new and well adapted for the changes of your project. What will help the company that is designing Product design better, will make the people who make it better aware how to work better. It does not mean that it is simple and easy. You will have to think about the problem carefully and decide on problems that are good enough to be implemented and can be simplified accordingly. This also is very practical for small businesses who